2009 Hybrid Tax Credit
You have probably heard a lot about the credit you can get if you purchase a hybrid vehicle. The good news is the $3400 tax credit is still available for 2009. Remember a tax credit is much better than a tax deduction because this amount is actually deducted off the tax you owe the government rather than deducted from your income like a tax deduction.
However, you still need to be careful because the amount of credit you get varies by the make and model of the vehicle that you buy. Many of the popular models are no longer eligible for this credit. Also, remember this credit is only available on new cars, not used vehicles.
Another part of this program is that the credit is phased out once a manufacturer sells 60,000 hybrid vehicles. Lexus, Toyota, and Honda all hit this mark in previous years so no 2009 purchase of their hybrids qualifies you for this tax credit.
Ford and Mercury hit this mark in the last quarter of 2008 which means you cannot get the full credit for a purchase made in 2009. However, 50% of the credit will be allowed if you purchase the vehicle between April 1, 2009 and September 30, 2009. Further, 25% of the credit will be available if the purchase is made from October 1, 2009 to March 31, 2010.
The full credit of $3400 is still available on hybrids made by Mazda, Mercedes-Benz, Nissan, Volkswagen, and certain General Motors models. So there are still many makes and models available if you want to take advantage of this great program.
You have probably heard a lot about the credit you can get if you purchase a hybrid vehicle. The good news is the $3400 tax credit is still available for 2009. Remember a tax credit is much better than a tax deduction because this amount is actually deducted off the tax you owe the government rather than deducted from your income like a tax deduction.
However, you still need to be careful because the amount of credit you get varies by the make and model of the vehicle that you buy. Many of the popular models are no longer eligible for this credit. Also, remember this credit is only available on new cars, not used vehicles.
Another part of this program is that the credit is phased out once a manufacturer sells 60,000 hybrid vehicles. Lexus, Toyota, and Honda all hit this mark in previous years so no 2009 purchase of their hybrids qualifies you for this tax credit.
Ford and Mercury hit this mark in the last quarter of 2008 which means you cannot get the full credit for a purchase made in 2009. However, 50% of the credit will be allowed if you purchase the vehicle between April 1, 2009 and September 30, 2009. Further, 25% of the credit will be available if the purchase is made from October 1, 2009 to March 31, 2010.
The full credit of $3400 is still available on hybrids made by Mazda, Mercedes-Benz, Nissan, Volkswagen, and certain General Motors models. So there are still many makes and models available if you want to take advantage of this great program.